StockMarketWire.com - Japan car firm Nissan has increased its production capacity in China following the opening of a second plant in Zhengzhou, Henan Province.

The firm's Chinese partner Zhengzhou Nissan Co said annual production capacity of the two plants will increase to 200,000 units from the current capacity of 60,000 units.

Production in the 2012 financial year is expected to reach 240,000 units following additional investment and plant expansion, fiscal

Nissan CEO Carlos Ghosn - who inaugurated the new plant - said: "The start of production at Zhengzhou Nissan's second plant is a significant step forward because this plant is a tangible symbol of our growth strategy and the demanding goals we have set in China.

"Our investment in Zhengzhou Nissan's second plant will also help strengthen the economy of the Zhengzhou City area.

"And because we expect to build cars with a high level of localization, production here will promote the growth of local suppliers in the Zhengzhou area, contributing to a more robust automotive industry in this region."

Story provided by StockMarketWire.com